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Marchionne: U.S.’s Tougher Recall Policies Will Raise Costs
Fiat Chrysler Automobiles NV CEO Sergio Marchionne tells reporters the more aggressive approach to U.S. safety recalls exhibited lately by the National Highway Traffic Safety Administration will raise costs for carmakers.
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Fiat Chrysler Automobiles NV CEO Sergio Marchionne tells reporters the more aggressive approach to U.S. safety recalls exhibited lately by the National Highway Traffic Safety Administration will raise costs for carmakers.
Marchionne vows to cooperate with the agency, which will convene a hearing in June to review FCA's handling of 20 recent recalls. But he says meeting NHTSA's increasingly demanding rules will come with a higher price.
FCA has frequently clashed with NHTSA over requests for recalls, the scope of such campaigns and the speed with which the company executes them.
Marchionne says the agency's "different attitude" about recalls signals a "new phase of regulation" in the U.S. He opines that the agency's goal of repairing 75% of recalled vehicles within 18 month is unrealistic.
He also claims that NHTSA's newfound fervor about recalls appears to include changing standards about safety features after the fact. Declares Marchionne, "I just want clear rules."
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